Individual Assurance of Learning Excercise 1
Individual Assignment - D02-IALE1-Johnson 1. Assurance of Learning Exercise 1A, Step 4, page 37
Strengths:
1: Highly successful and recognized worldwide (Ronald McDonald and the Golden Arch)
2: Strongest Brand Image as the number-1 fast-food company by sales, with more than 32,478 restaurants in 117 countries.
3: Consistently solid financial performance. * Sales revenue up 3.8% in 2009, global comparable sales up 6.9%. * Net income up 9% from 2008.
Weakness:
1: 80% of restaurants are franchise owned, placing image and reputation in other’s hands.
2: Not in sync with health and lifestyle
3: Struggles with fluctuations in operating and net profits: * Operating profits $4,433M (2006), $3,879M (2007), $6443M (2008). * Net profits $3,544M (2006), $2,395M (2007), $4,313M (2008).
Opportunities:
1: Healthier food, such as low fat, low cal.
2: Increased beverage options with McCafe have been shown to increase customer visits in Europe (+7.2%).
3: Joint ventures with retailers (Wal-Mart, etc.) can place new locations in high traffic areas at lower capital cost. (Such as the Wal-Mart located in Roanoke, VA)
Threats:
1: More health conscious customers.
2: Intense price pressure from competitors like Burger King, Taco Bell, Wendy’s, KFC and any mid-range sit-down restaurants.
3: As a multinational food operation, variations in the currency of other countries becomes a problem.
2. Assurance of Learning Exercise 1B, p.326
1. Buying competitors’ garbage: U & L
2. Dissecting competitors’ products: U & L
3. Taking competitors’ plant tours anonymously: E & L
4. Counting tractor-trailer trucks leaving competitors’ loading bays: E & L
5. Studying aerial photographs of competitors’ facilities: E & L
6. Analyzing competitors’ labor contracts: U & I
7. Analyzing competitors’ help-wanted ads: E & L
8. Quizzing customers and buyers about the sales of competitors’ products: E & L
9.
Strengths:
1: Highly successful and recognized worldwide (Ronald McDonald and the Golden Arch)
2: Strongest Brand Image as the number-1 fast-food company by sales, with more than 32,478 restaurants in 117 countries.
3: Consistently solid financial performance. * Sales revenue up 3.8% in 2009, global comparable sales up 6.9%. * Net income up 9% from 2008.
Weakness:
1: 80% of restaurants are franchise owned, placing image and reputation in other’s hands.
2: Not in sync with health and lifestyle
3: Struggles with fluctuations in operating and net profits: * Operating profits $4,433M (2006), $3,879M (2007), $6443M (2008). * Net profits $3,544M (2006), $2,395M (2007), $4,313M (2008).
Opportunities:
1: Healthier food, such as low fat, low cal.
2: Increased beverage options with McCafe have been shown to increase customer visits in Europe (+7.2%).
3: Joint ventures with retailers (Wal-Mart, etc.) can place new locations in high traffic areas at lower capital cost. (Such as the Wal-Mart located in Roanoke, VA)
Threats:
1: More health conscious customers.
2: Intense price pressure from competitors like Burger King, Taco Bell, Wendy’s, KFC and any mid-range sit-down restaurants.
3: As a multinational food operation, variations in the currency of other countries becomes a problem.
2. Assurance of Learning Exercise 1B, p.326
1. Buying competitors’ garbage: U & L
2. Dissecting competitors’ products: U & L
3. Taking competitors’ plant tours anonymously: E & L
4. Counting tractor-trailer trucks leaving competitors’ loading bays: E & L
5. Studying aerial photographs of competitors’ facilities: E & L
6. Analyzing competitors’ labor contracts: U & I
7. Analyzing competitors’ help-wanted ads: E & L
8. Quizzing customers and buyers about the sales of competitors’ products: E & L
9.
References: American School Search (2009-2013). Liberty University - Review & Ranking. Retrieved March 21, 2013 from Web site: http://www.american-school-search.com/review/liberty-university Liberty University (2013). Liberty University. Retrieved March 21, 2013 from Web site: http://www.liberty.edu/index.cfm?PID=21240 Liberty University. (2013). Retrieved March 21, 2013 from Web site: http://colleges.usnews.rankingsandreviews.com/best-colleges/liberty-university-10392 Skinner, J. (2010). Annual Report 2009. Retrieved March 21, 2013 from, Web site: http://www.aboutmcdonalds.com/content/dam/AboutMcDonalds/Investors/C-%5Cfakepath%5Cinvestors-2009-annual-report.pdf Standard & Poor 's (2011). Understanding Ratings. Retrieved March 21, 2013 from, Web site: http://img.en25.com/Web/StandardandPoors/SP_CreditRatingsGuide.pdf Q1 Labs (2010). Dramatic growth creates need for advanced detection of threats and minimizing risks. Retrieved March 21, 2013 from, Web site: http://www.liberty.edu/media/1155/Liberty-University-Case-Study.pdf